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Alliance Atlantis Reports Fourth Quarter and Year End Results*

www.allianceatlantis.com TSX: AAC.A, AAC.B
- Consolidated Revenue increased 12% to $327.3 million for Q4 and 13% to
$1.2 billion for the full year
- Broadcasting EBITDA(xx) (excluding digital media costs) increased 7%
to $37.5 million for Q4 and 10% to $99.9 million for the full year
- CSI Direct Profit(xx) increased 9% to $32.6 million for Q4 and 45% to
$162.6 million for the full year
- 366,900 shares repurchased at a cost of $14.6 million during Q4;
2,890,934 million shares repurchased at a cost of $99.6 million for
the full year
- Subsequent to year end, CanWest Global Communications Corp. and
Goldman Sachs Capital Partners announced agreement to acquire Alliance
Atlantis at a price of $53 cash for each outstanding share
TORONTO, March 6 /CNW/ - Alliance Atlantis Communications Inc. (the
"Company") reported record revenue for the year ended December 31, 2006,
driven by continued growth of the Company's broadcasting business and strong
sales for the CSI franchise.
"We are extremely pleased with the Company's overall performance in
2006," said Phyllis Yaffe, Chief Executive Officer of Alliance Atlantis. "Our
broadcasting business continues to grow and we are particularly satisfied with
the increased contribution from our eight digital channels. Subsequent to year
end, we entered into new carriage agreements for our digital channels and we
expect to add more than 5.0 million incremental subscribers across all of our
digital channels. Our analog and digital channels will now have an aggregate
in excess of 45.0 million subscribers. The CSI franchise also continued its
exceptional performance, fuelled by strong international second window sales."
"During 2006 we repurchased and cancelled approximately 2.9 million of
our Class B Non-Voting shares at a total cost of $99.6 million," said David
Lazzarato, Executive Vice President and Chief Financial Officer. "Subsequent
to year end, CanWest Global Communications Corp. and Goldman Sachs Capital
Partners announced an agreement to acquire Alliance Atlantis at a price of $53
cash for each outstanding share. As we recently announced, we will hold a
special shareholders meeting on April 5, 2007."
Fourth Quarter and Year End Financial Results
Broadcasting
During the fourth quarter, Broadcasting recorded revenue growth of 5% to
$88.0 million compared to $84.2 million in the prior year. For the full year,
revenue increased 6% to $301.2 million compared to $283.4 million in the prior
year. Subscriber revenue grew by 2% to $34.5 million in the quarter compared
to $33.9 million in the prior year's period as a result of steady growth in
the number of subscribers to the Company's channels. The prior year's fourth
quarter benefited from a retroactive payment of $2.3 million from one of our
distributors. For the full year, subscriber revenue increased by 8% to
$133.5 million in 2006 compared to $123.2 million in 2005. Advertising revenue
increased by 8% to $53.0 million for the quarter compared to $48.9 million in
the prior year primarily due to growth in audiences. Advertising revenue grew
by 5% to $164.4 million for the full year compared to $156.2 million in the
prior year.
EBITDA decreased $0.9 million or 3% in the fourth quarter. Excluding
digital media costs of $3.2 million during the quarter, EBITDA increased 7%
during the fourth quarter. For the full year, EBITDA increased $4.6 million or
5%. Excluding digital media costs of $4.6 million EBITDA increased 10% during
the year. The Company continues to selectively pursue ways of exploiting
content and generating revenue streams from emerging media technologies.
Entertainment
Entertainment revenue for the fourth quarter increased by $19.1 million
or 20% compared to the prior year's period. This increase is the result of a
$16.7 million increase in CSI revenue, and an increase in Entertainment-Other
revenue of $2.4 million. The increase in CSI revenue is largely driven by
second window sales and higher licence fees. This increase was partially
offset by timing of recognition of the Company's participation in U.S.
exploitation revenues reported by the co-producer and the strengthening of the
Canadian dollar which had a negative impact on revenue of $6.2 million. The
rate for the fourth quarter of 2006 was $1.13 compared to $1.21 in the fourth
quarter of 2005. The increase in Entertainment-Other revenue during the fourth
quarter is due to higher music publishing revenue and sales of children's
programming from the Company's library of film and television programs.
Entertainment revenue increased to $458.0 million for the full year
compared to $341.5 million in the prior year. The 34% increase in revenues is
attributable to higher sales of the CSI franchise, partially offset by a
decrease in Entertainment-Other revenues. The increase in CSI revenue of
$128.3 million is largely driven by higher international sales and licence
fees. International sales for the CSI franchise increased in comparison to the
prior year as the Company recognized $98.3 million (approximately
US$87 million) in revenue from new second window arrangements. The stronger
Canadian dollar had a negative $28.3 million impact on the current year
revenue compared to the prior year. The decrease in Entertainment-Other
revenue from $53.1 million in 2005 to $41.3 million in 2006 is due primarily
to a decline in the sale of library titles, and the negative impact of a
stronger Canadian dollar.
Direct profit for the fourth quarter decreased by $10.8 million compared
to the prior year's period. This decrease was the result of a $13.4 million
decrease in Entertainment -Other direct profit, partially offset by a
$2.6 million increase in CSI direct profit. The increase in CSI direct profit
is attributed to the higher licence fees as described previously, partially
offset by a negative foreign exchange impact of $2.0 million due to the
strength of the Canadian dollar compared to the prior year. Direct margin for
CSI was 33% compared to 37% in the prior year's period. The decrease in direct
margin, as expected, is primarily due to the current quarter reflecting lower
exploitation revenue as reported by the co-producer due to timing of
distribution fees and other expenses. Entertainment-Other direct profit has
decreased compared to the prior year's period due to impairments recognized on
the Company's library of film and television programs, higher amortization,
and the prior year benefiting from lower participation costs.
Entertainment direct profit for the full year increased to $156.3 million
from $118.2 million in the prior year, representing a 32% increase. CSI direct
profit increased from $112.2 million in 2005 to $162.6 million in 2006. The
increase in CSI direct profit is due primarily to the recognition of second
window licence fees, offset partially by higher third party participation
costs and foreign exchange. The negative impact of foreign exchange for the
year was $11.0 million. Entertainment-Other direct profit (loss) decreased
from a profit of $6.0 million in 2005 to a loss of $6.3 million in 2006. The
decrease is attributable to lower sales of the Company's library of film and
television programs as mentioned above, as well as higher amortization and
program impairments, which were triggered partly as a result of revised
revenue estimates on a limited number of titles in the library.
The factors noted above contributed to an EBITDA decrease of
$10.6 million in the fourth quarter, and an increase of $40.2 million for the
full year compared to the same periods in the prior year.
Motion Picture Distribution
Revenue for the fourth quarter increased $13.1 million to $126.3 million
from $113.2 million in the prior year's quarter. For the full year, revenue
was $416.2 million, a decrease of $1.9 million from the prior year.
EBITDA decreased $9.1 million and $14.5 million in the three months and
full year, respectively compared to the same periods in the prior year.
The Company's Motion Picture Distribution results differ from those of
Motion Picture Distribution LP due to the elimination of intercompany
transactions.
Motion Picture Distribution LP released their financial results on
February 21, 2007. For further information on Distribution LP, please refer to
their press release or go to their website at
www.moviedistributionincomefund.com.
Corporate and Other
Operating expenses in Corporate and Other were $22.3 million and
$48.5 million in the three months and full year, respectively, compared to
$11.3 million and $38.3 million, respectively in the same periods in the prior
year. The increase is primarily related to an increase in stock based
compensation costs of $8.0 million and $11.8 million during the fourth quarter
and full year, respectively, primarily related to higher Performance Share
Appreciation Plan costs due to a significant improvement in the Company's
share price performance in the current year relative to the prior year.
Amortization
Amortization was $3.0 million for the fourth quarter compared to
$8.0 million for the prior year's period. The decrease in the quarter is due
to the prior year including impairment charges related to certain broadcast
intangible assets. For the full year, amortization decreased by $4.7 million
to $13.3 million. The decrease in the year is also attributable to a reduction
in development cost amortization, partially offset by a write-down of
intangible assets recorded by Motion Picture Distribution.
Interest
Interest expense decreased $6.7 million to $2.6 million in the fourth
quarter compared to $9.3 million in the prior year's period. The decrease in
interest expense is the result of higher interest income earned on long-term
accounts receivable balances, an increase in the Company's cash balance
coupled with higher interest rates on those balances as well as the prior year
including interest incurred relating to the settlement of various government
tax audits. For the full year, interest expense decreased $2.9 million to
$23.4 million compared to $26.3 million in the prior year. The decrease for
the year is due to the reasons noted above, partially offset by an increase in
the Company's effective borrowing rate. The Company's average cost of
borrowing during the year was 6.7%, compared to 5.2% in the prior year period.
Earnings From Operations Before Undernoted (Operating Earnings)
Operating earnings for the fourth quarter were $34.7 million compared to
operating earnings of $52.8 million in the prior year's period. Operating
earnings for the full year were $175.7 million compared to operating earnings
of $146.7 million in the prior year.
Income Taxes
The income tax provision for the fourth quarter increased by
$28.6 million to $43.8 million compared to the prior year's period. The
increase is mainly the result of certain expenses not deductible for tax and
valuation allowances made against certain losses due to preliminary
conclusions with respect to tax audits.
In December 2006, the Canada Revenue Agency completed its initial review
of certain filing positions of the Company. The Canada Revenue Agency's
eventual final determination on this matter may impact the Company's ability
to utilize certain of its tax losses. As a result, the Company has recognized
a partial valuation allowance in respect of those losses.
For the full year, the income tax provision increased by $42.0 million to
$91.1 million compared to $49.1 million in the equivalent period in the prior
year. The effective tax rate for the full year increased to 57.3% from 34.4%
in the equivalent period in the prior year. The increase is due to the reasons
explained above as well as an impairment of goodwill during the year which is
not deductible for tax and decreases in certain future income tax rates
resulting in a reduction in the value of the future income tax assets, offset
by the mix of earnings between different tax jurisdictions.
Non-controlling Interest
Non-controlling interest represents the 49% interest of Movie
Distribution Income Fund in the earnings of Distribution LP and the various
ownership interests in three of the Company's channels - HGTV Canada, Food
Network Canada and Discovery Health Channel. For the fourth quarter,
non-controlling interest was $7.9 million compared to $12.3 million in the
prior year's quarter. Non-controlling interest for the full year was $19.2
million compared to $22.5 million in the prior year's period.
Net Earnings
The net loss for the fourth quarter was $16.6 million compared to net
earnings of $24.8 million for the prior year's period. On a basic and diluted
basis, net loss per share was $0.40 for the fourth quarter, compared to basic
and diluted net earnings per share of $0.57 and $0.56, respectively for the
prior year's period.
The net earnings for the full year were $48.6 million compared to net
earnings of $70.9 million for the prior year. On a basic and diluted basis,
net earnings per share were $1.15 and $1.13, respectively for the full year,
compared to basic and diluted net earnings per share of $1.63 and $1.61,
respectively for the prior year.
Liquidity and Capital Resources
Excluding Motion Picture Distribution, free cash flow during the fourth
quarter and full year was an inflow of $21.5 million and $99.3 million,
respectively compared to an inflow of $40.5 million and $96.6 million,
respectively in the same periods in the prior year.
Net debt, excluding the non-recourse net debt of Motion Picture
Distribution, decreased from $290.6 million at December 31, 2005, to
$252.5 million at December 31, 2006. This decrease in net debt is inclusive of
$99.6 million used to repurchase shares during the last twelve months.
Operating Highlights
Broadcasting
During the fourth quarter, three of the Company's established analog
channels ranked in the top 10 of all Canadian English language analog
specialty networks.(1) In the same period, the company also had four digital
networks ranked in the top 10, and six networks in the top 15 with Showcase
Action continuing to be ranked first,(2) a position it has held since January
2002.(3)
For the first four weeks of Winter 2007, National Geographic Channel's
Adult 25-54 average minute audience was 3 times higher than it was in Winter
2006. This translates to an increase of 200%.(4)
All eight Alliance Atlantis digital channels enjoy strong subscriber
levels well beyond the one million subscriber mark. In fact, four channels
have now surpassed the two million mark and three channels have more than
1.5 million subscribers each.
Subsequent to year end, the Company relaunched Life Network as SLICE. In
December 2006, the Company launched its National Geographic and Showcase
channels in high definition.
Entertainment
During the fourth quarter of 2006, the CSI franchise continued to deliver
exceptional results. CSI: Crime Scene Investigation is currently in its 7th
season and ranked the No. 1 drama on U.S. television with an average of
20.1 million viewers per week. CSI: Miami is currently in its 5th season and
ranked as the No. 5 drama on U.S. television and the No. 1 series on Monday
night with an average of 17.3 million viewers per week. And finally, CSI: NY
is currently in its 3rd season and ranked as the No. 9 drama on U.S.
television and the No. 1 series in its timeslot with an average of
14.8 million viewers per week.(5)
Transaction Update
On January 10, 2007, Alliance Atlantis, CanWest Global Communications
Corp. ("CanWest") and GS Capital Partners VI, L.P. and affiliated funds, a
private equity affiliate of Goldman, Sachs &amp; Co., announced that Alliance
Atlantis has entered into an Arrangement Agreement with a new acquisition
company formed by CanWest.
The Company has also announced that the Special Meeting of Shareholders
will be held on April 5, 2007 at 10:00AM (EST) in Toronto, Ontario at The
Metro Toronto Convention Centre. The record date for the determination of
shareholders entitled to receive notice of and vote at the Special Meeting has
been fixed at the close of business on March 4, 2007 (changed from the
previously published record date of February 23, 2007).
Additionally, Alliance Atlantis has obtained an Interim Order from the
Ontario Superior Court of Justice approving, among other things, the mailing
of the materials and the holding of a Special Meeting of Shareholders.
Alliance Atlantis expects to commence mailing the meeting materials, including
Notice of the Meeting, Management Proxy Circular and form of Proxy, on March
8, 2007.
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(1) BBM/Nielsen Media Research Mo-Su 6a-6a AMA 08/28/06-12/31/06 English
Language Canadian Analog Specialty Networks
(2) BBM/Nielsen Media Research Mo-Su 6a-6a AMA 08/28/06-12/31/06 English
Language Canadian Digital Specialty Networks
(3) BBM/Nielsen Media Research Mo-Su 6a-6a AMA 01/07-2002-12/31/06
averaged by season based on wks 1-18, 19-31, 32-43, 44-52 English
Language Canadian Digital Specialty Networks
(4) BBM/NMR, WI06 -wks 19-33, FA06 -wks 4-19, WI07 STD -wks 20-23
(5) National Nielsen Ratings: Primetime Season to Date Rank-Regular
Programs for Demographic PER 2+ for 09/18/06 - 02/18/07
About Alliance Atlantis Communications
--------------------------------------
Alliance Atlantis offers Canadians 13 well-branded specialty television
channels boasting targeted, high-quality programming. The Company also
co-produces and distributes the hit CSI franchise and indirectly holds a 51%
limited partnership interest in Motion Picture Distribution LP, a leading
distributor of motion pictures in Canada, with a presence in motion picture
distribution in the United Kingdom and Spain. The Company's common shares are
listed on the Toronto Stock Exchange - trading symbols AAC.A and AAC.B. The
Company's Web site is www.allianceatlantis.com.
Forward-Looking Statements
--------------------------
This press release, in particular the "Outlook" section, contains
forward-looking statements, which are based on certain assumptions and reflect
current expectations of Alliance Atlantis Communications Inc. (collectively
with its subsidiaries, the "Company"). Forward-looking statements are those
that are not historical fact and include, but are not limited to, statements
of the Company's expectations and intentions. The reader should not place
undue reliance on them. They involve known and unknown risks, uncertainties
and other factors that may cause them to differ materially from the
anticipated future results or expectations expressed or implied by such
forward-looking statements. Important factors that could cause actual results
to differ materially from those set forth in the forward-looking statements
include: failure to comply with the terms of the arrangement agreement (the
"Arrangement Agreement") dated January 10, 2007 and entered into with a new
acquisition company formed by CanWest, which is available on Sedar at
www.sedar.com; failure to complete, or a significant delay in completing, the
transactions contemplated by the Arrangement Agreement; audience acceptance of
the Company's filmed entertainment; technological change that increases
competition or facilitates the infringement of the Company's intellectual
property; the Company's ability to attract advertising revenue; actions of
competitors; changes to the regulatory environment; cost of production
financing; actions of the broadcasting distribution undertakings, or "BDUs"
that distribute the Company's channels; the loss of key personnel; the
Company's relationship with filmed entertainment content suppliers and changes
in the general economy. Additional information about the factors listed above
and information about other factors are described in materials filed by the
Company with the securities regulatory authorities in Canada from time to
time, including the Company's 2006 MD&amp;A. The Company undertakes no obligation
to publicly update or revise any forward-looking statements or information,
whether as a result of new information, future events or otherwise.
This earnings release contains the unaudited consolidated statements of
earnings and deficit and statements of cash flows for the three months and
year ended December 31, 2006 and the three months and year ended December 31,
2005.
(xx)Non-GAAP financial measures
The Company uses EBITDA, direct profit and free cash flow to gain a
better understanding of the results of the business. These non-GAAP financial
measures are not recognized under Canadian GAAP. These non-GAAP financial
measures are provided to enhance the user's understanding of the Company's
historical and current financial performance and its prospects for the future.
Management believes that these measures provide useful information in that
they exclude amounts that are not indicative of the Company's core operating
results and ongoing operations and provide a more consistent basis for
comparison between years. The Company uses EBITDA, direct profit and free cash
flow to measure operating performance. The Company has defined EBITDA,
calculated using figures determined in accordance with Canadian GAAP, as
earnings before under noted, which are earnings before amortization, unusual
items, interest, equity losses in affiliates, investment (gains) losses, gain
on disposal of assets, foreign exchange gains and losses, impairment of
goodwill, income taxes and non-controlling interest. Direct profit is defined
as revenue less direct operating expenses, as defined in note 25 of the
Company's consolidated financial statements for the year ended December
31, 2006. Free cash flow is defined as the total of cash and cash equivalents
provided by (used in) operating activities and provided by (used in) investing
activities.
Net debt is defined as the Company's revolving credit facility and term
loans, net of cash and cash equivalents.
While many in the financial community consider EBITDA to be an important
measure of operating performance, it should be considered in addition to, but
not as a substitute for net earnings, cash flow and other measures of
financial performance prepared in accordance with Canadian GAAP which are
presented in the attached unaudited consolidated financial statements. In
addition, the Company's calculation of EBITDA may be different than the
calculation used by other companies and therefore comparability may be
affected. A reconciliation of these non-GAAP financial measures to the most
directly comparable measures calculated in accordance with Canadian GAAP is
presented in the Company's 2006 MD&amp;A.
(xxx) Alliance Atlantis holds a 51% limited partnership interest in
Motion Picture Distribution LP (the "Partnership"), a motion picture
distributor in Canada, the U.K. and Spain. The balance of the Partnership is
owned by Movie Distribution Income Fund (TSX: FLM.UN).
-----------------------------------
(*) This press release contains forward-looking statements and should be
read in conjunction with the note on forward looking statements
contained at the conclusion of this release
Alliance Atlantis Communications Inc.
CONSOLIDATED FINANCIAL STATEMENTS
For the Three Months and Years Ended
December 31, 2006 and 2005
(Unaudited)
Management Report
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Management's responsibility for financial reporting
The accompanying unaudited consolidated financial statements and
Management's Discussion and Analysis ("MD&amp;A") of Alliance Atlantis
Communications Inc. ("the Company") are the responsibility of management and
have been approved by the Board of Directors.
The unaudited consolidated financial statements have been prepared by
management in accordance with Canadian generally accepted accounting
principles. When alternative methods of accounting exist, management has
chosen those it deems most appropriate in the circumstances. The unaudited
consolidated financial statements necessarily include amounts based on
informed judgments and estimates of the expected effects of current events and
transactions with appropriate consideration to materiality. In addition, in
preparing the financial information management must make determinations as to
the relevancy of information to be included, and make estimates and
assumptions that affect reported information. Actual results in the future may
differ materially from our present assessment of this information because
future events and circumstances may not occur as expected.
The Company maintains a system of internal accounting and administrative
controls. Such systems are designed to provide reasonable assurance that the
financial information is relevant, reliable and accurate and the Company's
assets are appropriately accounted for and adequately safeguarded.
The Board of Directors is responsible for ensuring that management
fulfills its responsibilities for financial reporting, and is ultimately
responsible for reviewing and approving the unaudited consolidated financial
statements. The Board carries out this responsibility through its Audit
Committee.
The Audit Committee is appointed by the Board and all of its members are
independent directors. The Audit Committee meets periodically with management,
as well as the independent external auditors, to discuss internal controls
over the financial reporting process and financial reporting issues. The
Committee reviews the unaudited consolidated financial statements and the MD&amp;A
and reports its findings to the Board for consideration when the Board
approves the unaudited consolidated financial statements and the MD&amp;A for
issuance to the shareholders.
Phyllis Yaffe David Lazzarato
Chief Executive Officer Executive Vice President and
Chief Financial Officer
Alliance Atlantis Communications Inc.
Consolidated Statements of Earnings and Deficit
For the periods ended December 31,
(unaudited)
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(in millions of Canadian dollars - except per share amounts)
Three months ended Years ended
December 31, December 31,
2006 2005 2006 2005
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Revenue
Broadcasting 88.0 84.2 301.2 283.4
Entertainment 113.0 93.9 458.0 341.5
Motion Picture Distribution 126.3 113.2 416.2 418.1
Corporate and Other - 0.1 - 0.4
---------------------------------------
327.3 291.4 1,175.4 1,043.4
Direct operating expenses 223.0 171.9 774.4 677.2
Direct profit
Broadcasting 56.7 53.2 171.1 159.2
Entertainment 25.0 35.8 156.3 118.2
Motion Picture Distribution 22.6 30.4 73.6 88.4
Corporate and Other - 0.1 - 0.4
---------------------------------------
104.3 119.5 401.0 366.2
Operating expenses
Selling, general and
administrative 49.6 40.7 167.2 161.2
Stock based compensation 14.3 6.7 21.2 12.1
---------------------------------------
63.9 47.4 188.4 173.3
Earnings (loss) before undernoted
Broadcasting 34.3 35.2 95.3 90.7
Entertainment 17.6 28.2 134.3 94.1
Motion Picture Distribution 10.8 19.9 31.5 46.0
Corporate and Other (22.3) (11.2) (48.5) (37.9)
---------------------------------------
40.4 72.1 212.6 192.9
Amortization 3.0 8.0 13.3 18.0
Unusual items - (0.8) - (0.8)
Interest 2.6 9.3 23.4 26.3
Equity losses in affiliates 0.1 2.8 0.2 2.7
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Earnings from operations
before undernoted 34.7 52.8 175.7 146.7
Investment (gains) losses - (0.5) - 0.2
Gain on disposal of assets - (0.4) - (4.1)
Foreign exchange (gains) losses (0.4) 1.4 (13.2) 8.1
Impairment of goodwill - - 30.0 -
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Earnings before income taxes
and non-controlling interest 35.1 52.3 158.9 142.5
Provision for income taxes 43.8 15.2 91.1 49.1
Non-controlling interest 7.9 12.3 19.2 22.5
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Net earnings (loss) for the period (16.6) 24.8 48.6 70.9
Deficit - beginning of period (287.5) (326.4) (310.3) (372.5)
Shares repurchased and cancelled
under issuer bid (8.4) (8.7) (50.8) (8.7)
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Deficit - end of period (312.5) (310.3) (312.5) (310.3)
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Earnings (loss) per Common Share
Basic $(0.40) $0.57 $1.15 $1.63
Diluted $(0.40) $0.56 $1.13 $1.61
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Alliance Atlantis Communications Inc.
Consolidated Statements of Cash Flows
For the periods ended December 31,
(unaudited)
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(in millions of Canadian dollars)
Three months ended Years ended
December 31, December 31,
2006 2005 2006 2005
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Cash and cash equivalents provided
by (used in)
Operating activities
Net earnings (loss) for the period (16.6) 24.8 48.6 70.9
Items not affecting cash
Amortization of film and
television programs 105.1 69.4 363.8 345.7
Amortization of property
and equipment 2.5 2.4 10.4 10.1
Amortization of other assets 1.0 1.1 4.5 6.1
Write down of broadcast
intangible asset - 2.3 - 2.3
Write down of broadcast licences - 2.7 1.0 2.7
Impairment of goodwill - - 30.0 -
Investment (gains) losses - (0.5) - 0.2
Gain on disposal of assets - (0.4) - (4.1)
Equity losses in affiliates 0.1 2.8 0.2 2.7
Non-controlling interest 7.9 12.3 19.2 22.5
Future income taxes 2.3 21.4 13.8 41.3
Unrealized net foreign exchange
(gains) losses 2.9 0.3 (5.1) (3.0)
Non-cash stock based compensation 1.3 1.6 5.5 3.9
Investment in film and television
programs (147.4) (95.2) (423.8) (383.9)
Net changes in other non-cash
balances related to operations 90.8 18.1 55.0 (3.7)
---------------------------------------
49.9 63.1 123.1 113.7
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Investing activities
Purchases of property and equipment (13.2) (3.0) (20.8) (6.9)
Proceeds from sale of property
and equipment - 1.4 - 6.1
Investments - - 0.3 11.6
Purchases of investments - 0.1 - (4.4)
---------------------------------------
(13.2) (1.5) (20.5) 6.4
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Financing activities
Proceeds from revolving credit
facility 1.7 19.0 16.0 33.0
Repayment of term loans (3.2) (1.5) (11.0) (63.6)
Distributions paid to
non-controlling interest (5.7) (6.8) (23.2) (26.1)
Issue of share capital 4.4 4.9 16.6 11.5
Shares purchased and cancelled
under issuer bid (14.6) (17.1) (99.6) (17.1)
---------------------------------------
(17.4) (1.5) (101.2) (62.3)
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Effect of exchange rate changes
on cash and cash equivalents 2.0 (0.2) 2.4 (2.2)
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Change in cash and cash equivalents 21.3 59.9 3.8 55.6
Cash and cash equivalents
- beginning of period 93.1 50.7 110.6 55.0
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Cash and cash equivalents
- end of period 114.4 110.6 114.4 110.6
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